Majority of employers 'want zero hours exclusivity clauses banned'

More than half of employers, 54 per cent, want zero hours exclusivity clauses banned, a client survey by DAC Beachcroft has suggested.

The Employment Lawyers Association called last month for government action to tackle confusion about zero hours contracts (ZHCs), whether through guidance or legislation.

David Widdowson, chair of the ELA legislative and policy working party on the issue, said ZHCs meant "different things to different people" and a clear definition was essential.

The DAC Beachcroft survey found that only 21 per cent of employers thought exclusivity clauses in ZHCs should not be banned, with the rest unsure. Three quarters wanted more guidance on exclusivity clauses and 71 per cent wanted more guidance on ZHCs generally.

Only one in 12 employers who took part in the survey used exclusivity clauses within their ZHCs, while more than a third thought they could never be justified.

A spokesman for DAC Beachcroft said some employers pointed to "specific, limited projects undertaken by senior employees or directors, particularly where there is a need to protect commercial confidentiality or trade secrets, as occasions where such clauses may still be necessary".

He said it was clear from the research that ZHCs were used to recruit specialists, where there was a "genuine ad hoc requirement" for their skills.

"However, the issue has been at the heart of a long-running political debate concerning the extent of their use and possible abuse by UK employers. Banning zero hours contracts was not an option addressed by the consultation, despite calls for such a ban from some trade unions.

"Instead, the proposals ranged from potentially doing nothing to banning exclusivity clauses entirely, while statutory codes of practice, guidance, model clauses and better provision of information were also suggested."

DAC Beachcroft employment partner, Sue Jenkins (pictured), said: "Given that all political parties appear committed to taking some action over zero hours contracts, it seems we should expect some change in the future.

"In the meantime, the results of our survey underline that employers should review the transparency of their zero hours arrangements and look at any exclusivity clauses in use to consider whether they are justified in the circumstances.

"Employers should also ensure zero hours workers' employment status and rights are fully understood by all - applicants and internally - and make sure there is clarity around the terms and consequences of the contracts."